BILL NUMBER: AB 1034	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 15, 2011
	AMENDED IN ASSEMBLY  APRIL 6, 2011
	AMENDED IN ASSEMBLY  MARCH 16, 2011

INTRODUCED BY   Assembly Member Gatto

                        FEBRUARY 18, 2011

   An act to amend Sections 47604.33 and 47605 of, and to add Section
49068.7 to, the Education Code, relating to charter schools.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1034, as amended, Gatto. Charter schools.
   (1) The Charter Schools Act of 1992 permits teachers and parents
to petition the governing board of a school district to approve a
charter school to operate independently from the existing school
district structure as a method of accomplishing, among other things,
improved pupil learning. Existing law requires each charter school to
annually prepare and submit specified reports to its chartering
authority and the county superintendent of schools.
   This bill would require each charter school, at least 6 months
prior to applying for renewal of the charter, to additionally report
specified information relating to pupil demographics and academic
progress.
   This bill would require each school district to draft and
implement a policy to collect data that clearly defines the reasons
that pupils transferred from charter schools to traditional public
schools after the commencement of the school year, and would classify
this data as public records for purposes of the California Public
Records Act. Because this bill would create additional duties for
charter schools and school districts, it would impose a
state-mandated local program.
   (2) Existing law prohibits the governing board of a school
district from denying a petition for the establishment of a charter
school unless the governing board finds that the petition does not
contain specified information, including admission requirements, as
applicable  , and the governance structure of the school,
including, but not limited to, the process to be followed by the
school to ensure parental involvement  .
   This bill would eliminate the provision relating to admission
requirements.  The bill also would provide that a charter school
may encourage parental involvement   and would require the
charter school to notify parents and guardians of applicant pupils
and currently enrolled pupils that parental involvement is not a
requirement for acceptance or continued enrollment at the school. To
the extent that this notification requirement would create additional
duties for charter schools, it would impose a state-mandated local
program. 
   (3) Existing law authorizes, if the number of pupils who wish to
attend a charter school exceeds its capacity,  for 
preference to be extended to pupils currently attending the charter
school and pupils who reside in the district.
   This bill would additionally allow preference for siblings of
pupils attending the charter school and children of employees at the
charter school.
   Existing law additionally authorizes  for  other
preferences to be extended, on an individual school basis, if
consistent with the law.
   This bill would delete the authorization for other preferences to
be extended.
   (4) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 47604.33 of the Education Code is amended to
read:
   47604.33.  (a) Each charter school shall annually prepare and
submit the following reports to its chartering authority and the
county superintendent of schools, or only to the county
superintendent of schools if the county board of education is the
chartering authority:
   (1) On or before July 1, a preliminary budget. For a charter
school in its first year of operation, the information submitted
pursuant to subdivision (g) of Section 47605 satisfies this
requirement.
   (2) On or before December 15, an interim financial report. This
report shall reflect changes through October 31.
   (3) On or before March 15, a second interim financial report. This
report shall reflect changes through January 31.
   (4) On or before September 15, a final unaudited report for the
full prior year.
   (b) At least six months prior to applying for renewal of the
charter, a charter school shall prepare and submit a report that
includes all of the following to its chartering authority and the
county superintendent of schools, or only to the county
superintendent of schools if the county board of education is the
chartering authority:
   (1) The pupil population served by the school at the beginning and
end of each school year during the period the charter is in effect,
showing the number of pupils with special needs, English learner
pupils, and the total number of pupils served, disaggregated by race,
ethnicity, and socioeconomic status as determined by eligibility in
any free or reduced-price meal program.
   (2) Data that shows the academic progress of the pupils enrolled
in the school, disaggregated by pupil race, ethnicity, and
socioeconomic status as determined by eligibility in any free or
reduced-price meal program.
   (c) The chartering authority shall use any financial information
it obtains from the charter school, including, but not limited to,
the reports required by this section, to assess the fiscal condition
of the charter school pursuant to subdivision (d) of Section
47604.32.
   (d) The cost of performing the duties required by this section
shall be funded with supervisorial oversight fees collected pursuant
to Section 47613.
  SEC. 2.  Section 47605 of the Education Code is amended to read:
   47605.  (a) (1) Except as set forth in paragraph (2), a petition
for the establishment of a charter school within a school district
may be circulated by one or more persons seeking to establish the
charter school. A petition for the establishment of a charter school
shall identify a single charter school that will operate within the
geographic boundaries of that school district. A charter school may
propose to operate at multiple sites within the school district, as
long as each location is identified in the charter school petition.
The petition may be submitted to the governing board of the school
district for review after either of the following conditions are met:

   (A) The petition has been signed by a number of parents or legal
guardians of pupils that is equivalent to at least one-half of the
number of pupils that the charter school estimates will enroll in the
school for its first year of operation.
   (B) The petition has been signed by a number of teachers that is
equivalent to at least one-half of the number of teachers that the
charter school estimates will be employed at the school during its
first year of operation.
   (2) A petition that proposes to convert an existing public school
to a charter school that would not be eligible for a loan pursuant to
subdivision (b) of Section 41365 may be circulated by one or more
persons seeking to establish the charter school. The petition may be
submitted to the governing board of the school district for review
after the petition has been signed by not less than 50 percent of the
permanent status teachers currently employed at the public school to
be converted.
   (3) A petition shall include a prominent statement that a
signature on the petition means that the parent or legal guardian is
meaningfully interested in having his or her child or ward attend the
charter school, or in the case of a teacher's signature, means that
the teacher is meaningfully interested in teaching at the charter
school. The proposed charter shall be attached to the petition.
   (4) After receiving approval of its petition, a charter school
that proposes to establish operations at one or more additional sites
shall request a material revision to its charter and shall notify
the authority that granted its charter of those additional locations.
The authority that granted its charter shall consider whether to
approve those additional locations at an open, public meeting. If the
additional locations are approved, they shall be a material revision
to the charter school's charter.
   (5) A charter school that is unable to locate within the
jurisdiction of the chartering school district may establish one site
outside the boundaries of the school district, but within the county
in which that school district is located, if the school district
within the jurisdiction of which the charter school proposes to
operate is notified in advance of the charter petition approval, the
county superintendent of schools and the Superintendent are notified
of the location of the charter school before it commences operations,
and either of the following circumstances exist:
   (A) The school has attempted to locate a single site or facility
to house the entire program, but a site or facility is unavailable in
the area in which the school chooses to locate.
   (B) The site is needed for temporary use during a construction or
expansion project.
   (6) Commencing January 1, 2003, a petition to establish a charter
school may not be approved to serve pupils in a grade level that is
not served by the school district of the governing board considering
the petition, unless the petition proposes to serve pupils in all of
the grade levels served by that school district.
   (b) No later than 30 days after receiving a petition, in
accordance with subdivision (a), the governing board of the school
district shall hold a public hearing on the provisions of the
charter, at which time the governing board of the school district
shall consider the level of support for the petition by teachers
employed by the district, other employees of the district, and
parents. Following review of the petition and the public hearing, the
governing board of the school district shall either grant or deny
the charter within 60 days of receipt of the petition, provided,
however, that the date may be extended by an additional 30 days if
both parties agree to the extension. In reviewing petitions for the
establishment of charter schools pursuant to this section, the
chartering authority shall be guided by the intent of the Legislature
that charter schools are and should become an integral part of the
California educational system and that establishment of charter
schools should be encouraged. The governing board of the school
district shall grant a charter for the operation of a school under
this part if it is satisfied that granting the charter is consistent
with sound educational practice. The governing board of the school
district shall not deny a petition for the establishment of a charter
school unless it makes written factual findings, specific to the
particular petition, setting forth specific facts to support one or
more of the following findings:
   (1) The charter school presents an unsound educational program for
the pupils to be enrolled in the charter school.
   (2) The petitioners are demonstrably unlikely to successfully
implement the program set forth in the petition.
   (3) The petition does not contain the number of signatures
required by subdivision (a).
   (4) The petition does not contain an affirmation of each of the
conditions described in subdivision (d).
   (5) The petition does not contain reasonably comprehensive
descriptions of all of the following:
   (A) (i) A description of the educational program of the school,
designed, among other things, to identify those whom the school is
attempting to educate, what it means to be an "educated person" in
the 21st century, and how learning best occurs. The goals identified
in that program shall include the objective of enabling pupils to
become self-motivated, competent, and lifelong learners.
   (ii) If the proposed school will serve high school pupils, a
description of the manner in which the charter school will inform
parents about the transferability of courses to other public high
schools and the eligibility of courses to meet college entrance
requirements. Courses offered by the charter school that are
accredited by the Western Association of Schools and Colleges may be
considered transferable and courses approved by the University of
California or the California State University as creditable under the
"A" to "G" admissions criteria may be considered to meet college
entrance requirements.
   (B) The measurable pupil outcomes identified for use by the
charter school. "Pupil outcomes," for purposes of this part, means
the extent to which all pupils of the school demonstrate that they
have attained the skills, knowledge, and attitudes specified as goals
in the school's educational program.
   (C) The method by which pupil progress in meeting those pupil
outcomes is to be measured.
   (D) The governance structure of the school, including, but not
limited to, the process to be followed by the school to ensure
parental involvement  , subject to the restrictions specified in
subdivision (n)  .
   (E) The qualifications to be met by individuals to be employed by
the school.
   (F) The procedures that the school will follow to ensure the
health and safety of pupils and staff. These procedures shall include
the requirement that each employee of the school furnish the school
with a criminal record summary as described in Section 44237.
   (G) The means by which the school will achieve a racial and ethnic
balance among its pupils that is reflective of the general
population residing within the territorial jurisdiction of the school
district to which the charter petition is submitted.
   (H) The manner in which annual, independent financial audits shall
be conducted, which shall employ generally accepted accounting
principles, and the manner in which audit exceptions and deficiencies
shall be resolved to the satisfaction of the chartering authority.
   (I) The procedures by which pupils can be suspended or expelled.
   (J) The manner by which staff members of the charter schools will
be covered by the State Teachers' Retirement System, the Public
Employees' Retirement System, or federal social security.
   (K) The public school attendance alternatives for pupils residing
within the school district who choose not to attend charter schools.
   (L) A description of the rights of any employee of the school
district upon leaving the employment of the school district to work
in a charter school, and of any rights of return to the school
district after employment at a charter school.
   (M) The procedures to be followed by the charter school and the
entity granting the charter to resolve disputes relating to
provisions of the charter.
   (N) A declaration whether or not the charter school shall be
deemed the exclusive public school employer of the employees of the
charter school for the purposes of Chapter 10.7 (commencing with
Section 3540) of Division 4 of Title 1 of the Government Code.
   (O) A description of the procedures to be used if the charter
school closes. The procedures shall ensure a final audit of the
school to determine the disposition of all assets and liabilities of
the charter school, including plans for disposing of any net assets
and for the maintenance and transfer of pupil records.
   (c) (1) Charter schools shall meet all statewide standards and
conduct the pupil assessments required pursuant to Sections 60605 and
60851 and any other statewide standards authorized in statute or
pupil assessments applicable to pupils in noncharter public schools.
   (2) Charter schools shall, on a regular basis, consult with their
parents, legal guardians, and teachers regarding the school's
educational programs.
   (d) (1) In addition to any other requirement imposed under this
part, a charter school shall be nonsectarian in its programs,
admission policies, employment practices, and all other operations,
shall not charge tuition, and shall not discriminate against any
pupil on the basis of the characteristics listed in Section 220.
Except as provided in paragraph (2), admission to a charter school
shall not be determined according to the place of residence of the
pupil, or of his or her parent or legal guardian, within this state,
except that an existing public school converting partially or
entirely to a charter school under this part shall adopt and maintain
a policy giving admission preference to pupils who reside within the
former attendance area of that public school.
   (2) (A) A charter school shall admit all pupils who wish to attend
the school.
   (B) However, if the number of pupils who wish to attend the
charter school exceeds the school's capacity, attendance, except for
existing pupils of the charter school, shall be determined by a
public random drawing. Preference shall be extended to pupils
currently attending the charter school, siblings of pupils currently
attending the charter school, children of employees at the charter
school, and pupils who reside in the district except as provided for
in Section 47614.5.
   (C) In the event of a drawing, the chartering authority shall make
reasonable efforts to accommodate the growth of the charter school
and in no event shall take any action to impede the charter school
from expanding enrollment to meet pupil demand.
   (3) If a pupil is expelled or leaves the charter school without
graduating or completing the school year for any reason, the charter
school shall notify the superintendent of the school district of the
pupil's last known address within 30 days, and shall, upon request,
provide that school district with a copy of the cumulative record of
the pupil, including a transcript of grades or report card, and
health information. This paragraph applies only to pupils subject to
compulsory full-time education pursuant to Section 48200.
   (e) The governing board of a school district shall not require any
employee of the school district to be employed in a charter school.
   (f) The governing board of a school district shall not require any
pupil enrolled in the school district to attend a charter school.
   (g) The governing board of a school district shall require that
the petitioner or petitioners provide information regarding the
proposed operation and potential effects of the school, including,
but not limited to, the facilities to be utilized by the school, the
manner in which administrative services of the school are to be
provided, and potential civil liability effects, if any, upon the
school and upon the school district. The description of the
facilities to be used by the charter school shall specify where the
school intends to locate. The petitioner or petitioners shall also be
required to provide financial statements that include a proposed
first-year operational budget, including startup costs, and cashflow
and financial projections for the first three years of operation.
   (h) In reviewing petitions for the establishment of charter
schools within the school district, the governing board of the school
district shall give preference to petitions that demonstrate the
capability to provide comprehensive learning experiences to pupils
identified by the petitioner or petitioners as academically low
achieving pursuant to the standards established by the department
under Section 54032 as it read prior to July 19, 2006.
   (i) Upon the approval of the petition by the governing board of
the school district, the petitioner or petitioners shall provide
written notice of that approval, including a copy of the petition, to
the applicable county superintendent of schools, the department, and
the state board.
   (j) (1) If the governing board of a school district denies a
petition, the petitioner may elect to submit the petition for the
establishment of a charter school to the county board of education.
The county board of education shall review the petition pursuant to
subdivision (b). If the petitioner elects to submit a petition for
establishment of a charter school to the county board of education
and the county board of education denies the petition, the petitioner
may file a petition for establishment of a charter school with the
state board, and the state board may approve the petition, in
accordance with subdivision (b). A charter school that receives
approval of its petition from a county board of education or from the
state board on appeal shall be subject to the same requirements
concerning geographic location to which it would otherwise be subject
if it received approval from the entity to which it originally
submitted its petition. A charter petition that is submitted to
either a county board of education or to the state board shall meet
all otherwise applicable petition requirements, including the
identification of the proposed site or sites where the charter school
will operate.
   (2) In assuming its role as a chartering agency, the state board
shall develop criteria to be used for the review and approval of
charter school petitions presented to the state board. The criteria
shall address all elements required for charter approval, as
identified in subdivision (b), and shall define "reasonably
comprehensive" as used in paragraph (5) of subdivision (b) in a way
that is consistent with the intent of this part. Upon satisfactory
completion of the criteria, the state board shall adopt the criteria
on or before June 30, 2001.
   (3) A charter school for which a charter is granted by either the
county board of education or the state board based on an appeal
pursuant to this subdivision shall qualify fully as a charter school
for all funding and other purposes of this part.
   (4) If either the county board of education or the state board
fails to act on a petition within 120 days of receipt, the decision
of the governing board of the school district to deny a petition
shall, thereafter, be subject to judicial review.
   (5) The state board shall adopt regulations implementing this
subdivision.
   (6) Upon the approval of the petition by the county board of
education, the petitioner or petitioners shall provide written notice
of that approval, including a copy of the petition, to the
department and the state board.
   (k) (1) The state board may, by mutual agreement, designate its
supervisorial and oversight responsibilities for a charter school
approved by the state board to any local educational agency in the
county in which the charter school is located or to the governing
board of the school district that first denied the petition.
   (2) The designated local educational agency shall have all
monitoring and supervising authority of a chartering agency,
including, but not limited to, powers and duties set forth in Section
47607, except the power of revocation, which shall remain with the
state board.
   (3) A charter school that has been granted its charter through an
appeal to the state board and elects to seek renewal of its charter
shall, prior to expiration of the charter, submit its petition for
renewal to the governing board of the school district that initially
denied the charter. If the governing board of the school district
denies the school's petition for renewal, the school may petition the
state board for renewal of its charter.
   (l) Teachers in charter schools shall hold a Commission on Teacher
Credentialing certificate, permit, or other document equivalent to
that which a teacher in other public schools would be required to
hold. These documents shall be maintained on file at the charter
school and are subject to periodic inspection by the chartering
authority. It is the intent of the Legislature that charter schools
be given flexibility with regard to noncore, noncollege preparatory
courses.
   (m) A charter school shall transmit a copy of its annual,
independent financial audit report for the preceding fiscal year, as
described in subparagraph (H) of paragraph (5) of subdivision (b), to
its chartering entity, the Controller, the county superintendent of
schools of the county in which the charter school is sited, unless
the county board of education of the county in which the charter
school is sited is the chartering entity, and the department by
December 15 of each year. This subdivision does not apply if the
audit of the charter school is encompassed in the audit of the
chartering entity pursuant to Section 41020. 
   (n) A charter school may encourage parental involvement, but shall
notify the parents and guardians of applicant pupils and currently
enrolled pupils that parental involvement is not a requirement for
acceptance or continued enrollment at the school. 
  SEC. 3.  Section 49068.7 is added to the Education Code, to read:
   49068.7.  Each school district shall draft and implement a policy
to collect data from parents who have transferred pupils into
traditional public schools from charter schools after the
commencement of the school year. The data shall clearly define the
reasons for pupil transfer from a charter school into a traditional
public school. Subject to existing law regarding privacy and personal
directory information, the data shall be classified as public
records, subject to the California Public Records Act (Chapter 3.5
(commencing with Section 6250) of Division 7 of Title 1 of the
Government Code).
  SEC. 4.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.